There are Starbucks Card rewards all over the globe, but the perks vary from place to place. I do not profess to be a Starbucks card expert. I think I understand the U.S. rewards backwards and forwards, but I am far less adept at talking about the international versions. Both in an email from a curious reader, and in my twitter stream, the new UK Starbucks Rewards are a hot topic. As far as I know, these UK Starbucks Card perks launch tomorrow:
In an email, a reader wrote me that she has called the UK Customer Service, and was told that the new UK program is stars per transactions, and so in order to maximize stars, items must be rung up separately. I am amazed that Starbucks is expanding that model. It will frustrate many customers for obvious reasons that have previously been discussed on this blog. I also notice that UK customers can get a free add shot in their beverage. My understanding is that the UK market is very different in terms of what customers order. As I have heard (all of this is anecdotal, heard from many folks), UK customers tends to order a very high percentage of for-here ware beverages, and that they use very few syrups. The “flat white” which is almost an extremely traditional, very small latte, launched with success in the UK. For example, one partner who took a vacation to the UK in 2011, told me that he saw that the UK offers ‘Irish Cream’ as a syrup offering, but partners told him that it just sits, and almost no one orders it. In addition, the competition in the UK is different than the US, and I have heard that other coffee shops all offer two shots as standard in an 8 to 12 ounce drink. Smaller sizes are the norm.
The email reader who wrote me indicated that the free tall beverage with bean purchase has totally been withdrawn as a perk. Interestingly, in the UK there previously were a number of limitations on what can be ordered as a free tall beverage, and Frappuccinos were completely excluded. I also notice that it takes 50 stars to get to gold in the UK.
The whole thing is a bit fascinating to me. I am typing this out in a massive rush, so please excuse the many grammar mistakes and typos. I’ve done no proofreading! But I thought it would be interesting for my readers (who are mostly in the US) to see what’s coming tomorrow (January 5, 2012) to the UK. I am still working on understanding that chart! LOL
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There may be changes coming to the USA as well. A SM is spreading word that only 2 swipes of a card per hour are going to count towards stars.
Dad Cooks you must be joking right? Melody I tried to understand that UK chart and it is very confusing to try to decide which level card you should stay with. Why can’t companies explain programs in plain and sensible words?
So, it looks like you have to get to gold in the UK to get any rewards, other than the free drink cards (do they appear in the mail any better over there?) that start at the green level. I’m curious why they’re no longer doing a free drink with bean purchase over there. Are there that many more beans sold there? Or is this a foreshadowing of a change to the US policy perhaps?
Everyone loves change!
@purple1 — I would not joke about a thing like that. The only qualifier I will put on my statement is that this SM has a tendency to over interpret Starbucks Company Policy and to translate anecdotal discussions to be “policy”.
Dad Cooks I sure hope you are correct about how the SM interprets discussion vs. policy because it would really be a shame if this policy was enforced in the USA. Sorry for the transgression off the UK card rewards program.
Just to expand on the levels. At the moment you can have a card which is registered or unregistered. A registered card gives you all the benefits in the first column. A registered card is one which was initially loaded with £5/€5 and registered online. You can maintain any balance on this card to avail of all the rewards.
However, as of tomorrow this will all change.
Tomorrow you can have a unregistered card, a green card or a gold card. A green card is basically a registered card. No Stars are needed to reach green level, just one initial top up and online registration. Benefits at this level include 1 drink free in every 15 and free marketing material. It takes 50 stars/transactions to reach gold level.
Notice the new gold lacks three rewards currently available. These will be withdrawn overnight.
Patrick I would think this new rewards program would drive UK customers crazy plus the fact of having to explain to them the new system. Are partners in the UK happy with this new program?
@DadCooks, I havent heard about a limitation of 2 stars per hour coming soon. I’m writing from a Kindle, so a little sloppy. I vaguely recall hearing that changes were coming to th us program, but I never followed up on that & pretty much forgot about it. Ill do some asking around. Its possible your sm has wrong info… What a horribly vague. answer.
@DadCooks, @Melody – I am not usually buying enough at once to make it worth bothering to split my purchases for the stars, but it would be really irritating if I were to make two purchases in an hour for myself (not unheard of to get a drink and then decide on a snack), then get a call from hubby asking me to bring him coffee in that same hour and not get credit for that third purchase. I’m hoping that info is misinterpreted like some of the other policies.
There is a lot of red on that chart – hopefully something was added that isn’t reflected on the new chart. (is it the free drink with 15 transactions that’s new or are they changing from items to transactions?)
It would be very interesting to learn more about the different drinking habits around the world. I was very disappointed when I learned the Venti didn’t have anything more than extra milk. I now only order shorts and talls but even then add an extra shot. And since I don’t order syrups, I’d gladly trade the free syrup for a free shot but I’m sure that wouldn’t go over very well in the U.S. The flavored drinks seem to be very popular here. Is that the case? If you work in a Starbucks store, what sells in your store?
Wow. I would be miffed! How can you simply restrict the benefits without adding any? I could understand taking a few away to add a new one, but just nicking them is no good!
I am a UK customer and I only found about this today. I go into Starbucks most days for a black filter coffee which currently costs me £1 (approx $1.50) when paying with my registered Starbucks card. Now it will cost me £1.50 (approx $2.40), which I think is a bit much to spend 5 days per week. Over a year this is a difference of over £100. Not happy about this!
Thank you KPE for making comments re the new UK rewards program. I really wonder how many more customers in the UK feel like you and how UK SB will respond to complaints or if they will adjust the new program to respond to the complaints.
According some posts on the UK Facebook Page, there will be limit of 3 Stars a day in the UK/Ireland. More will be known overnight when the full T&C’s are updated online.
as CD said: there is alot of red on that chart! Very interesting to see the differences! I agree: would LOVE a free shot as a reward and would trade the syrups! But, I know that’s unlikely here.
@KPE: wow! that’s a huge jump for brewed coffee…… that is what you were referring to, right? and yes, thanx for the info!
@DadC…… as others have said, I really hope your info from the sm is wrong….but I wouldn’t be surprised. and I agree, it’d be a bummer. Not uncommon at all to have a drink and later decide a snack or a pasrtry (within one hr!) and then, when leaving, need to bring a drink to someone. just as example. I guess we’ll find out…..
ps: I could see the free tall ANY drink disappearing with the lb (or Reserve)…..just a feeling. and I really hope that doesn’t happen either 🙁
I have finally had some time to digest this! @KPE – I see what happened! You used to get a 50p discount on brewed coffee with the ‘current rewards.’ So if you have a basic card, that must mean that it is not registered, so no perks. I like the simplicity of just having a two level program, but boy they are losing a lot of perks! Is the earning free drink coupons a new thing for the UK?
Speaking of the card, I called Starbucks Customer Service this afternoon – I wanted to know my renewal date on my card, and I was a little bit confused about how many stars I have been earning. All was fine in the end. I start over on a new year on 1-6-12. I talked to an Anthony (712711) who answered my questions fine, though my gut sense was that I knew more about Starbucks than he, but that was just a gut feeling. I did ask him if he knew of any program changes like limitations to earning stars, and he hadn’t heard that. Of course, that doesn’t mean it is not coming…The only thing that irked me was that I literally waited on hold for 12 minutes before I got a person. That’s too long to wait on hold, imho. And the system is set up so you must enter a 16 digit card number to get to a real person. I have a strong preference for more user-friendly systems where you just press “0” to get to a real person. I asked Anthony if he was in NM and he said yet. I got the info I wanted so all is well that ends well.
DadCooks, my gut tells me that 2 stars per store change is not coming, but I will keep researching it.
@Melody
Yes earning drink coupons is new.
Previously Starbucks Marketing would mail out sessional free coupons to try new beverages, but that stopped well over one year ago.
However, the way Starbucks UK/IRE are promoting this is at odds with every other coffee chain. Most have loyalty cards which are stamped, cards which are swipped or digital wallets to collect points using an RFID chip etc. Every 6th or 10th drink is immediately free. Starbucks UK/IRE are implying your next drink (after 15) is on us, however it’s not. It’s after a coupon is mailed out and redeemed. This style of offer is new and will come at a shock when people start asking why their 16th drink isn’t automatically free.
Melody I wouldn’t be surprised to see the star limit happen. It looks like there is going to be a limit in the UK so they’re already heading down that slippery slope.
I have to say I’m a little miffed with the inital offerings on the new Reward scheme. I got an email with an automatic upgrade to Gold for already being a rewards member, so I’m getting the usual perks anyway. But it’s sad to see the £1 filter coffee and free drink with beans/VIA offer gone
Costa Coffee is the main rival and they’ve had a loyalty card system since the Summer. Which is focused on points (100 points = £1) which can be instantly redeemed. Costa also regularly do double/triple points periods where you get extra points. (and they can be redeemed on anything in a Costa I believe too…) . Though they do not offer the free syrups and shots like Starbucks do. But that instant redemption really gives them the edge on Starbucks scheme.
That is a huge price jump for a brewed coffee…and that doesn’t include the traditional price increases from time to time. Also, that’s sad in regards to doing away with the free tall beverage with coffee purchase. I will be said if that perk is taken away here…but I have a feeling some changes are bound to be coming to the US. I haven’t seen a gold card offer (coupon) other than the free drink coupon in ages…maybe almost a year?!
I’m very much looking forward to listening to all of our filter coffee customers whinge about the extra 50p they’ll be spending every day. But other than that, the only real loss for current Starbucks card holders is the free drink with the purchase of coffee beans or via. Anyone who currently has a card registered still gets free extra shots, syrups and soy milk. I haven’t read anything about a star limit, unless that was excluded from the promotional materials.
The real loss in benefits comes after a year when people are converted back to green status from the gold status they’ve been given.
@Jenny The other main difference with Costa is that they free soy milk, which Starbucks charges 35 or 40p for.
Hi Melody,
I have just checked the T’s & C’s for the UK “My Starbucks Rewards” and there is NO limit on the number of stars you can earn per day.
There are, however, a number of glaring errors in the document and I’m enclosing a link to the page for you to see for yourself. I spotted three obvious ones.
I have already complained to the SCS about the new system and the fact that they are unfairly penalising those who are lactose intolerant, there is no incentive for those of us who only drink filter and that we Brits have to collect 20 more stars than in the US and Canada just to get to, and maintain, GOLD level.
When you look at things, it would seem that our levels have been swapped. i.e. what we get on GREEN, you get on GOLD (except the free shots, of course). Maybe they thought that it would seem be be more of a “reward” to get free syrups, etc. which would warrant it being classed that way.
Thanks for posting this.
Regards,
Klair
That’s pretty frustrating, I was hoping for something new, but looks like they are taking away the only rewards people actually use. Poor show Starbucks, poor show.
Andrew -UK
@cardiff barista
I don’t think you’ll be listening to them for long and they won’t be spending every day. A 50% price increase will drive customers away instead.
The old rewards system only made Starbucks competitive not better. The ‘free shot’ of espresso is something that the other chains and independents offer as standard. I would agree that free syrups are not used by many. As the flat white is the one drink that is served strong as standard it would make sense to switch to that for espresso based coffee instead of a latte with extra shot. Or even just go to Nero or an independent. 50 transactions a year is effectively 1 visit per week and I guess upwards of £100 average spend per year. Quite a lot for such a small return I’d say.
I did see that the T&Cs say you can cancel the card if you don’t use the card after 20 days from relaunch and get the balance refunded. So there’s nothing wrong about what Starbucks are doing but I don’t think it will generate more business for them unless they rethink it.
The UK Starbucks facebook looks like a bit of a warzone right now, some understandably miffed people but a lot of toys being thrown out the proverbal pram by a lot of people currently. Poor Kellie has her work cut out for her today!
The filter coffee deal has been there for just under a year, so it wasn’t a long-standing perk and I’m surprised it stayed as long as it did. Speaking as someone who works for a supermarket, whom just ended a year long double points offer, it seems silly to bail out simply because they removed a perk. I do still think the Starbucks Via/Bean for Free Coffee being gone is the worst of it, but I tend to only buy a few packs a year anyway. Sort of hoping one of the special Gold coupons will at least occasionally bring that perk back…
I think the launch could of been handled and planned out a little better personally. But I’ll wait to see how they actually approach this for the year, before damming the new system. Gold could come with really awesome benefits still, though I might just be a foolish optimist
From the feeds, the thinking behind this change is to reward the standard latte drinker. It has been confirmed to me that customers order lattes all the time and aren’t getting rewarded. This new system will give them 1 drink in 16. Which Starbucks say is more rewarding to everyone. Apparently no-one orders syrups, so they scheme has been adjusted.
Odd, as everyone I know with a Starbucks Card have so for syrups and cheap filter.
Shoot me down, but the only people excited about this “positive” and “exciting” change are Starbucks employees! Did they put something in their coffee over the last week?
It seems like once again we’re all discussing and complaining about a free rewards system that doesn’t cost us anything to join. However, it is odd that UK Starbucks is taking away a bunch of stuff that sounds like it’s being used, and only adding the free drink coupons. It sounds like the buy so many get one free for brewed coffee is prevalent among coffee chains in the UK (correct me if I’m wrong, as I’m not there), and the free drink coupon is only partially taking care of this. Again, I must ask: Why can so many other chains automatically put free drinks etc on a rewards card but Starbucks insists on mailing out paper coupons? Is this really cheaper for them? Or perhaps they’re just hoping a lot of them will get lost in the mail or forgotten.
I didn’t see the warzone on the Facebook account, but when I picked up my usual Americano at lunchtime there were some poor Baristas being yelled at by confused drinkers in the city branch today. I can only imagine it will get worse.
It seems like filter coffee drinkers, those who buy whole beans or Via (and lose the free drink with purchase), soy drinkers (Sbux is the only UK place that charges for soy) and those who go less regularly are going to lose out massively. Which to be honest seems like a lot of people. I can see why there’s a lot of grumpiness going on.
I’m not hugely bothered as I drink americanos, so as long as I keep going once a week or more, I’m actually gaining a free drink every 15 stars and will get the same syrups for my occasional hot chocolates free as usual. But I would say that I’m a pretty heavy user (3-6 times a week at least) for the UK.
It looks to me like Starbucks are focused on narrowing the rewards to heavier users – do you agree Melody? And I’m surprised that it’s 50 stars a year for the UK, compared to the US and Canada.
this has really been interesting, especially hearing from the U.K. folks. Thanx, to all of you!
@merryncole: I know what you mean about a rewards program we don’t pay for…but actually, we do. Sbux requires that one use a registered card with money on it and pay with that card in order to recv any rewards. To me, that’s a huge loan to Sbux, all the electronic $$$ belonging to them until it is redeemed for product. I realize, we could always pay at the time of purchase..put X amnt on our card, then order but I’m sure that almost never happens. I’m guessing most people (gold) keep some $ on their card almost all the time…some alot, some less. So, that’s where, in my mind, we pay for our rewards. If it were just some ‘punch card’ system, when no $ is required to be loaded on a card and pd for with that card…just a straight up: you buy X amnt of whatever and the 15th is a free drink…then it really would be totally free.
and, I don’t even really intend to be complaining about the way it is. I’m just saying I don’t consider it free. not really.
I didn’t hear a single complaint about the cards today, even from our filter coffee drinking regulars. Most of them never expected the 50p discount to last forever.
I activated quite a few new cards for our morning regulars- the ones who don’t customise their drinks.
I agree with Rose- 50 stars does seem like a lot for the average person.
I too find it so interesting to see how UK customers and partners are responding to the new program and ultimately I look forward to seeing what the corporate UK people do. It concerns me that we here in the USA might be getting another revamped rewards program when they have not yet cleaned up issues with the current program. I wonder if the problems and lessons learned by this new UK program will be passed along to the USA rewards program.
I think that on the reflection, the changes aren’t so bad as they are just putting Starbucks in line with other UK coffee chains, such as Costa and Nero that do the 1 free drink for every so many bought.
I think the main problem is the way it was announced like it is some amazing new thing. If they’d just came clean and said ‘we know some of you won’t like it but…’ then maybe people wouldn’t be so annoyed, but sending me an e-mail telling I’m getting the honour of having a gold card sent to me whilst not mentioning what they’re taking away is bad customer service to me.
I’ll probably still keep going to Starbucks though over Costa or Nero as they don’t do filter coffee, so I’d end up buying an Americano which costs more. Nero also charges more for in you’re drinking in, which I’m not a fan of as I always get a takeaway cup but drink about half of it in store and I feel cheeky sitting at a table when I’ve not paid the drink-in price!
Getting the free drink sent to you in the post is actually a good thing in my opinion as I can save it for when I want a more expensive drink than my usual filter.
@ KPE
If the T’s & C’s remain as they currently are (after correcting the more obvious errors) then you will only have 30 days from issue to redeem the free drink voucher.
Apologies for my mistake in trying to embed a link in my previous post. It was my first attempt to do such a thing and I got it a bit wrong! It WILL take you to the correct page (http://starbucks.co.uk/card/rewards/my-starbucks-rewards-terms-and-conditions)
if you click on the green highlighted section.
Went into a branch near St Paul’s Cathedral, in London, today and one of the partners told me that some of the customers had been a bit upset at the changes made to the rewards. When I asked her to ring up my purchases separately, she had no issue with doing so.
I sincerely hope that Starbucks US does not try to implement a “swipes per hour” method. The recession is not over (at least not in my opinion)! Rewards are why a lot of people choose Starbucks over other shops (like Peet’s or Tully’s).
To provide a little perspective… 50 stars is 1 visit to Starbucks a week for a year (and you could take two weeks off). I feel like a lot of registered card holders visit at least once a workday, which would mean ten weeks. Still lame, compared to the 30 stars in the US.
Personally, I have heard nothing about changes to the number of stars you can receive per day/per hour/per whatever (I’m a US partner). Right now we’re all focused on Blonde Roast and getting that ready to go (I’m pretty excited about it myself), and I really don’t think that changing the terms of the rewards program would be feasible in the middle of the time when we are encouraging people to register cards that they got as holiday presents.
On the other side of the coin, I occasionally see the reason why it wouldn’t be unreasonable to put some limits on the number of stars you can get in a time frame (though limiting it to two seems a bit unreasonable). I rang someone up today for twelve items (food and drinks) – all as separate transactions. Thankfully, it was during slow time, so no other customers were held up, but I know for a fact that the customer in question does so to accumulate stars, get free drink cards, and give them to other people, and I don’t think the request would have been any different whether there had been one additional person in line, five, or fifteen. It is unfortunate that some people abuse a good system.
I am finally coming back to this thread, and there are many good comments, and I just can’t respond to all of them.
When it comes to the rewards (and just sort of generally speaking here), I really see that there is more than one perspective. Starbucks DOES get something out having rewards. And in order to be competitive, Starbucks needs rewards. I cringe when baristas feel the need to complain that their customers are cheap. Things aren’t really what they seem always. Partners hear customers complain about maybe paying more for coffee, but it is a bit like they’re hearing a skewed audience. Of course customers want things for less – I don’t know any partners who go clothes shopping and think, ‘Oh goody, I hope I pay full price for everything I buy.’ It doesn’t matter what industry you’re in, or whether you’re a partner or not, customers just like discounts, and their human nature does NOT change when they walk into a Starbucks, it just that it FEELS like it because partners hear about it time and time again from customers. And Starbucks IS a billion dollar corporation – They know how to come with rewards, and make a profit. They have figured that out. On the other hand, the specific rewards that Starbucks offers can be confusing (what’s a sauce from what’s a syrup) and they are unlike other corporations of similiar BILLION dollar scale, so it can feel confusing and deminimus to customers. The less you understand it, the more likely you’ll feel it is not generous, when the Starbucks rewards ARE generous.
And in the end, everyone is paying for the rewards one way or another. The discount you save now, may be the price increase later. There is no such thing as a free lunch. But as a 13 billion dollar corporation, they know what they’re doing, and they wouldn’t offer this program if it were going to make them bankrupt.
When I tweeted about limitations of Starbucks per day or hour, it seems like some of the international programs might already be set up with this. One partner said that rewards just launched in Mexico too, and they are capped at earning 3 stars per day. I can’t find any information about star limitations in the US. It does not exist as far as I know. ((But I can understand the worry that the international markets may be a sign of what will come to the US.))
On MyStarbucksIdea, I am always amazed how many people state that 30 stars is too high. It doesn’t seem high to me at all. By the way, tomorrow is my anniversary in the star program, so I start re-earning stars for 2012 effective tomorrow. I might keep track how long it takes to earn 30. And 50 doesn’t seem like much either. But for customers who live in more remote areas, I can see the problem. The reality is that the current program (and this seems like an inadvertent consequence of the current program) favors urban dwellers who can easily get to Starbucks and live in a sea of Starbucks in a larger city. If you can easily find a Starbucks, and come and go often, then you will likely have more visits. If you have to drive 20 miles to get to Starbucks, you’re more likely to go, buy more in one visit, and leave, and not be back soon. The person who has to drive 20 miles to a Starbucks may buy a lot more in one visit, almost stocking up on coffee and things: that person would really be hurt by a limitation of a certain number of stars per day or per hour.
I feel very conflicted at times about ringing things separately. I ask for that often too. I find that in the morning, on my way to work, I almost never ask for separate ringing – My brain is still sleepy and I am in a rush. If I go in the afternoon, it’s less likely to be crowded, and often I have time to wait for separate transactions. I have never seen anything like what Kitenarie describes. Wow. That’s extreme. I guess that does make me thing twice. However, I often feel that it would take longer for the partner to argue about it than just ring separately. And the time involved of a customer talking to a shift, or a manager, or who knows … it’s just not worth it. But 12 items is extreme. If I really wanted that many things rung up separately, I would wait until the line was gone and then do it. I have come close to that situation. There have been a few times where I’ve bought significant amounts of whole bean or Via all at once and given it away as blog prizes. If buying 12 pounds of Verona, yes, I want 12 stars considering how expensive that is, but I would wait. My neighborhood Starbucks always have some lull in the line … But it seems like that’s not true everywhere.
Boy I have really rambled, and mostly I am talking out loud, and thinking this through as I type. Some of my thoughts above might be fluid, and still changing.
By the way (@JennyTablina) I looked at the Starbucks UK facebook page, and I think some of the customer comments got deleted. I saw what you mean as a ‘war zone’ and then looked again, and it seemed like way fewer comments. I can understand that the above changes are drastic, and I can see why there would be some backlash!
Change is often difficult, but this is the second time that Starbucks has changed their reward program and offered some of their best customers less than what they had before. Prior to the current version of the US rewards program, there was another “gold” program that gave gold card members 10% off every purchase. For many, that was a much better program than the current stars program for gold members.
Like they are doing in the UK, Starbucks positioned it as “exciting,” etc. but the truth is it was a step back for many customers.
Of course, Starbucks is entitled to do what they want when they want with their rewards programs, but it would be nice if they were a bit more up front about what and why they are doing what they are doing – transparency is very important in this day and age.
Wow Melody – that comment is practically a post in and of itself! 😉 And you managed to get the word deminimus in too! 😉 😉
On a more serious note, I’ve never asked for things to be rung separate but I have purchased items more than three times in an hour. I’m not one to really track my stars (or use my postcards for that matter), but there really is something left to be desired about the current star program.
It doesn’t seem to properly serve those customers who make big purchases and if they limit the number of stars you can earn in an hour or day it will hurt those customers who frequent Starbucks many times a day or for a large amount of time per visit.
Rewards programs aren’t easy so it’s nice that Starbucks even has one.
Ms. Melody – you are right on point! Starbucks is definitely making money and while I love, love, love Starbucks, they REALLY do have to realize that rewards are what motivate people. I’m going to date myself but – remember Blue Chip stamps? I would call rewards part of the economic stimulus this country needs. Off my soap box now 😉
Oh Dorothy yes indeed do I ever remember Blue Chip stamps! I collected books of them, and turned them in and got my one and only tool set ever for kids. Lord only knows why I ever thought I wanted it, because I’m not handy at all.
At this point, there is no turning back from the Pandora’s box of rewards. Starbucks just needs to make customers FEEL like they’re getting a lot of value from the card.
@KPE
It does not bring Starbucks into line with the competition because the others offer 2 espresso shots as standard. Starbucks has always charged for the second.
Hey! I cant get to sbux much so I really lose out because I used to buy a bag of coffee and always got a free tall drink – You could get frappucinos free with coffee or via . So the new rewards are in Ireland too unfortunately and I hope Starbucks change their mind soon!
Brian Waring, the Starbucks regional VP of marketing, responsible for the launch of the updated rewards is quoted as saying “All existing cardholders will automatically qualify for Gold level, so no one will lose benefits, but now in addition they will get a free drink with 15 visits.”.
Can you believe this? No one will lose benefits? How could a VP of marketing, knowing well benefits are being withdrawn, say this? What game are they playing?
Link: http://www.marketingweek.co.uk/sectors/food-and-drink/qa-starbucks-vice-president-of-marketing/3033060.article
The funny thing for me about the no free tall drink with a bag of coffee or via is that in the last 6 months I’ve only seen 2 or 3 people utilise it.
1) We don’t sell a lot of whole bean coffee, and 2) Most of the people who were buying it didn’t even have the Starbucks cards.
On the filter coffee subject:
At least one of the Starbucks around here only brews 1/4 batches and I don’t think any brew a full batch. Giving it away for £1 was better than pouring it down the drain.
However, filter coffee has become really popular in my shop in the last few months. Possibly due to the Christmas queues. But, if it’s seen a surge in popularity everywhere else in the UK then I’m not at all surprised to see this change to the rewards programme.
While I understand the frustration at some of the benefits being withdrawn, I think the actual message of the changes is being lost a bit.
The changes were not introduced to remove benefits from people, they were introduced in order to increase the number of our customers who can actually make use of the rewards. Yes, everyone who had the old card would make use of extra shots or filter coffee – but the majority of our customers did not have any need for a card, because they didn’t customise their drinks and therefore did not receive any benefits.
I’d like to have seen some of the old benefits stay with the card, but that’s not what’s happening.
The number of times when the initial card was introduced and we’d try to offer it to customers only to find out they would get absolutely nothing at all from having a Starbucks card – because they only drank a latte or something similar would probably surprise people.
On top of that filter coffee is only around 10% of the drinks sold in store, I know this must vary slightly but that’s the whole UK percentage. So we’ve switched giving 10% of customers 50p off their drink to giving 100% of customers the chance to get a free drink every 15 if they register a card.
I’m not trying to sugarcoat it here, but people seem to be painting this as a “big bad Starbucks are taking away all of our perks” scenario… which is a little frustrating when I’ve worked behind the counter and seen thousands of customers who were excluded from the previous system just because they liked to have a simple latte. This one includes everyone, regardless of what they drink.
Like I said, I can see why the changes might frustrate people, but even with promoting the old system my store only had maximum 5 people a week taking advantage of the free tall drink with a bag of wholebean or VIA… Which isn’t a lot of uptake.
Anyway, I think I’ve rambled a bit too much but I hope the general sentiment of the changes has been made a bit clearer… it’s about including everyone, not taking things away from loyal customers.
Interesting Figures Dave. Only 10%. If that was the case and Starbucks wanted to reward 100% of customers, including those who won’t drink lattes, they could have simply extended the old reward system to include the 15 for 1 drink. Adding rather then taking away. If only 5 people per store are getting their tall drink free a week, surely it’s better to include all customers then leave that customer out. If Starbucks really wanted to reward everyone they couldn’t have. There are more people complaining then shouting for joy. I welcome the 15 for 1, change is good. But loyalty is for true loyal customers. Businesses don’t need to reward everyone, only those who are loyal.
Remember this isn’t a loyalty scheme like other companies who stamp a card, Starbucks still require you to give personal information and to prepay for your drinks. What other coffee chain require you to prepay in order to be rewarded. The fact you are prepaying should be rewarding enough yet alone having to make 15 visits. There are so many things wrong with this 100% loyal system. It’s not perfect. Far from it.
I was given that figure about six months or so when asking about the difference between UK and US consumption of filter coffee, from a member of our coffee team. Even with the 50p off benefit, a slightly longer hold time for batches than the US, I’ve never worked in a store that hasn’t discarded a large amount of filter coffee every day, and I’ve worked in some ridiculously busy stores.
I do agree Starbucks does ask you to do one step more than other coffee shops in terms of the prepaid system – however, no other coffee shop gives you the chance for free extras – at any point, at all. You either save up your stamps, or points, and use them to redeem a free drink. Even by having the gold level where customers can receive free syrups, shots, soy and whipped cream – we’re offering more than any competitors currently offer.
I think the gold level perks are quite a good reward for having to prepay and register the card. Even with the other discounts being withdrawn – you are still getting rewarded more than at ANY other coffee chain in the UK, even though it’s a two tier system. There is no gold costa card, or nero card, there is no free syrups, shots, or any extras available for free with any other coffee chains.
An example is – at Costa to get £3 back in points to spend on a free drink or food… you’d have to spent £60. That’s a little steep if you ask me. Even drinking a grande latte – to get your free drink at Starbucks it would only cost you £37.50, and everyone currently with a card could be getting that drink as a grande triple shot vanilla latte – for the same price, and only spend £37.50 to qualify for their free drinks voucher.
I admit there is a lot of people unhappy about this, and I can’t say if that’ll change Starbucks’ mind in any way… and I apologise if I come across as defensive in this post, haha, it’s just that the scheme still offers more than other coffee shops when people actually take a look at the numbers and see what we’re giving them.
It’s far from the best value scheme. Take a tall latte, Starbucks is one shot. Insomnia is a double by default. No need for a card or prepay for free extras. It’s there by default. Alpro Soya is free too. Insomnia offer every 10th free immediately, so buy 9, your tenth is on the house, any drink, any size immediately. Starbucks is via mail rebate practically with a time limit. Insomnia offer an iPhone app to track drinks and points. Starbucks don’t offer Ireland this. Insomnia not only offer every 10th drink free, they give 5% back to spend in store. Insomnia don’t require you to pay up front to get something back. Insomnia give you free drinks all the time to regular customers. Insomnia offer any size hot drink and pastry for €3.50. Insomnia offer so much more then Starbucks here. And that’s just one chain.
I can’t comment fully for Costa as you know I live in Ireland. But from what I’ve read Costa offer more again too. Let’s look at the following purchase. 1 tall coffee and 1 pastry from costa, what £4? Over 15 Costa visits you could get between £3 or £6 back. They offer double at the moment. The same with Starbucks is £2.80 back? Again I don’t know the UK prices.
BTW, found out today, Licensed Starbucks Stores continue to offer full Gold Rewards as per the old scheme and 80cent off filter. I picked up a Grande today, for €1.05, upgraded to Grande on the house and own cup discount. The same from a company store 100metres away would have been €2.50. €1.45 saving per visit means over €15 saved over 15 visits. I would take that saving any week compared to the insulting tall drinks voucher which Starbucks will now post out to me. You can have your cake and eat it! lol